half year results, page-4

Thanks for posting. Nice to read independent analysis that confirms what we've been posting on HC. I believe this is one of the cleanest and best REITs (no offshore rubbish in it either, no forex derivatives lol), but I admit the weakness lately has been a surprise to me. However it's very much under the radar imo, as commsec doesn't even have earnings and div forecasts like with the bigger trusts. In the past the distribution has been about half trust and half company, atm the company div is suspended. So if things come good in the next year or 2 or whatever, and they restart the div, in theory distributions could go to 7-8c ish.

Headlines were cruel to the results in the crisis, but the reduced profits were caused by the increase of cap rates, plain and simple one offs. These were accounting entries only and don't effect cash flows. When the first write up comes at some stage in the next few years, the earnings could go through the roof imo.

This company carried 50% debt for years and years. Now it's down to 27% or so. So there is a chance for a big rerating if the economy, etc all comes good. If not, then it should tick along with ok distributions in the meantime. imo.